France

This guide is for e-commerce companies that sell online via web stores or at marketplaces.

VAT Standard rate

The standard VAT rate in France in 2024 is 20%.

VAT Reduced rate

10%

• Сertain products and services are eligible for the special reduced rate, including food, pharmaceutical products, hotel accommodation, and pay/cable TV.

5.5%

• Certain products and services are eligible for the special reduced rate, including books, non-alcoholic beverages, admission to sports events

2.1%

• Сertain products and services are eligible for a special reduced rate, including newspapers and periodicals, television license fees, and admission to cultural events.

The rate of 2.1% does not apply to the main territory of the country. This is the rate of the DOM (French Special Territories).

See the summary of the EU VAT rates.

Thresholds

From the 1st of July 2021, the distance selling thresholds were withdrawn and replaced by a unified threshold of EUR 10,000 for all EU members.

In other words, VAT should be charged at the VAT rate of the customer’s country of residence by companies whose annual taxable cross-border turnover is over EUR 10,000.

Deductible VAT

If goods or services were used to make taxable supplies in France, VAT in input invoices might be credited. Examples include:

• VAT paid at custom clearance with your EORI number;
• VAT paid to French suppliers.

Registration procedure

When a company has the obligation to register, the owners will be required to complete and submit a VAT registration form, along with supporting documentation:

• Certificate of incorporation (along with the translation into French);
• Trade register extract (along with the translation into French);
• Articles of Associations (along with the translation into French of the main provisions).

If the company is appointing a local tax agent or Fiscal Representative, then a Letter of Authority or Power of Attorney is.

Tax representative

Taxable companies established outside the European Union are obliged to appoint fiscal representatives in order to handle all formalities related to VAT registration and filling except for the following countries:

• Antigua and Barbuda,
• Armenia,
• Aruba,
• Australia,
• Azerbaijan,
• Bosnia-Herzegovina,
• Cabo Verde,
• Cook Islands,
• Curaçao,
• Dominica,
• Ecuador,
• Faroe Islands,
• French Polynesia,
• Georgia,
• Ghana,
• Greenland,
• Grenada,
• India,
• Iceland,
• Jamaica,
• Japan,
• Kenya,
• Kuwait,
• Mauritius,
• Mexico,
• Moldavia,
• Nauru,
• New Zealand,
• Niue,
• North Macedonia,
• Norway,
• Pakistan,
• Republic of Korea,
• Saint Barthelemy,
• Saint-Martin,
• Sint-Maarten,
• South Africa,
• Tunisia,
• United Kingdom,
• Northern Ireland,
• Ukraine,
• Vanuatu.

Keeping records

Records must be kept by the taxable person or by the keeper of its accounts.

If goods or services were used to make taxable supplies in France, VAT in input invoices might be credited. Examples include:

• Although the legal obligation stipulates preserving invoices for 6 years, it is common practice for the issuer and recipient to keep the original documents for at least 10 years due to the different interpretations that may be drawn from the specifications set forth in the different French codes.

Sales list

The European sales list must be submitted monthly before the 10th business day of the month following the reporting month. There are no other reporting periods in France.

VAT payment date

Periodical VAT payments are due on a monthly or a quarterly basis. The VAT due must be paid before the 19th  day of the month following the period.

Filing VAT returns

A taxpayer must transmit VAT  returns to the Service des impôts des entreprises étrangères (SIEE) by electronic means. The Lovat platform supports digital submission.

The tax period is one month or one quarter. VAT returns must be filed by electronic means before the  19th of the month following the relevant period.

Filling annual VAT returns is not applicable.

Companies can also keep track of deadlines at the Lovat portal.

VAT rates in the autonomous regions of France

Guadeloupe (GLP), Martinique (MTQ), and Reunion (REU): 8.5% standard rate, and 2.1%; 1.75% or 1.05% reduced rate.

French Polynesia (PYF): 16% standard rate, 13% and 5% reduced rate.

Corsica (north and south) (FR-20): 20% standard rate, and 13%; 10%; 2.10% or 0.90% reduced rate.

For some territories, VAT is not applicable:

• Mayotte (MYT)
• Wallis et Futuna (WLF)
• Saint-Pierre et Miquelon (SPM)
• Saint-Martin (MAF)
• Saint-Barthélemy (BLM) (VAT only applies to real estate)
• Terres australes et antarctiques francaises (ATF)
• Clipperton (CPT)
• Nouvelle Caledonie (NCL)
• Guyane (GUF)

E-Invoicing in France

The obligation to receive electronic invoices will apply from 1 September 2026. This date could be postponed by decree to 1 December 2026 at the latest.

Timeline:

September 1, 2026:

• Issuing e-invoices: Mandatory for companies larger than 5.000 employees AND larger than €1.5B revenue or €2B annual balance sheet total and mid-cap companies medium-sized companies with high turnover (ETI) between 5.000 and 250 employees AND below €1.5B revenue or €2B annual balance sheet total AND above €50M revenue or €43M balance sheet total.
• Receiving e-invoices: Mandatory for all VAT-registered businesses, regardless of size.

September 1, 2027

• Issuing e-invoices becomes mandatory for Small and Medium Enterprises (SMEs). Companies below 250 employees AND below €50M revenue or €43M balance sheet total and also for companies below 10 employees AND below €2M revenue/ balance sheet total.

Currently, there is no legal obligation for non-French companies to issue or receive e-invoices.

The French government might introduce regulations for non-resident businesses in the future.

Customer Requirements: Some French customers might request e-invoices for efficiency and compliance reasons. Be prepared to accommodate these requests.ember 1, 2026, at the latest. However, this hasn’t been confirmed yet.